Introduction

Abstract

Over the past two decades, the world has experienced privatization on a massive scale. Industrial and developing countries alike are putting up entire sectors for sale, including those once considered off limits, such as telecommunications, railroads, and national airlines. The numbers speak for themselves. According to Privatization International, more than 100 countries have divested public assets. In 1997, the value of worldwide privatization reached a record sum of more than U.S.$162 billion, equivalent to 0.5 percent of world economic output. The three preceding years had already seen record levels of privatization of U.S.$90 billion, U.S.$76 billion and U.S.$78 billion respectively.[1] In addition to western Europe, Latin America, and Asia, numerous African countries have lately joined the movement, as have countries that are still under communist rule, such as China and Cuba.[2]